Movement along Demand Curve and Shifts of Demand Curve | Microeconomics

macMovement along Demand Curve and Shifts of Demand Curve

Microeconomics

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The demand curve is a graphic representation of a demand schedule. It is the graph depicting the relationship between the price of a certain commodity and the amount of it that consumers are willing and able to purchase at any given price.
Demand curves are used to estimate behaviors in competitive markets, and are often combined with supply curves to estimate the equilibrium price and the equilibrium quantity of that market.

 

S.No  Movement  Along Demand         Curve

(Change In Quantity Demanded)

 

 Shift Of Demand Curve

(Change In Demand)

 

1. Movement  Along Demand Curve  is the change in quantity  demanded for a good due to change in price of the same good. Shift Of Demand Curve is the change in demand for a good due to change in factors other than price.
2. Extension of demand occurs when demand for a quantity increases with the fall in price. This is the case of rightward movement along the same demand curve. Increase in demand occurs when demand increases with the change in factors other than price. This is the case of rightward shift in demand curve.
3. Contraction of demand occurs when demand for a quantity decreases with the rise in price. This is the case of leftward movement along the same demand curve. Decrease in demand occurs when demand decreases with the change in factors other than price. This is the case of leftward shift in demand curve.
4. Movement  Along Demand Curve is expressed by the different points on the same demand curve . Shift Of Demand Curve is expressed by the shift in entire demand curve either rightward s or leftward.

 

 

 

 

 

 

 

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